Budget 2027: Increase to child benefit all but ruled out 

The €140 monthly child benefit payment has not increased since 2011

Dara Calleary has also suggested that payments for pensioners will be focused on targeted supports such as the living alone allowance or the fuel allowance. Picture: Niall Carson/PA Wire

An increase to child benefit has been all but ruled out by the social protection minister, who has stressed that any budget measures will be targeted.

Dara Calleary has also suggested that payments for pensioners will be focused on targeted supports such as the living alone allowance or the fuel allowance.

Last year the State pension increased by €10 per week, bringing the maximum personal rate to €299.30 per week, however, Mr Calleary has dampened down expectations of a similar jump his year.

"For pensioners, particularly those pensioners who are living on their own, we're going to be focused on them — pensioners who are under particular pressure," he said.

Asked specifically about the €140 monthly child benefit payment, which has not increased since 2011, Mr Calleary said: "My budget this year in the Department of Social Protection will be very targeted, and we'll be using targeted payments similar to that last year."

Speaking at the Fianna Fáil think-in, Mr Calleary said: "Our envelope this year in line with all government expenditure is smaller, and I'm going to use that envelope to make the biggest impact and make the biggest targeted impact."

While he said a second tier of child benefit for the lowest income families is being examined, it will require legislation and will not be in place for this budget.

Mr Calleary said he agrees with a second tier, claiming "we need to do it," but stressed that any new system cannot have unintended consequences.

He pointed to models that state that 100,000 children in families who currently receive the child support payment and the working family payment might lose that support if a second tier is rolled out.

"That can't happen. Nobody can be worse off, and we've got to make sure the intervention is made in a way that gets children and their families out of the poverty cycle, but equally that is sustainable financially and economically," said Mr Calleary.